IOST IS DEFI’NING THE SPACE: HERE IS HOW!
Decentralized finance is the rave of the moment right now for cryptocurrency enthusiasts, and it deserves all the credit and attention that it gets. Not only has it been able to defeat traditional financial organizations in terms of ease of service offering, it has also been able to take these services a step further for its customers by offering new ways for these customers to earn more money from the comfort of their homes and computers.
You don’t have to look too hard to see why decentralized finance is a revolution of its own, one that has been long overdue and needed in the way financial services are being managed all over the world. Decentralized Finance explores the full advantages that decentralized systems offer, which is, trust, transparency, security and self-reliance; and merges it with growing financial innovations that could have only been termed ‘ideas’ some decades ago. For instance, some decentralized platforms like Aave offer users flash loans, which are automated loans that are borrowed, used and repaid in a single transaction. These transactions are fast, automated and above all, do not require collateral. These sorts of transactions are impossible with traditional financial services that are slow to execute and definitely requires collateral.
Another Instance is decentralized applications that offer yield farming, a novel lending strategy that has made a lot of cryptocurrency lenders rich. Minimal amount required to access decentralized financial services is significantly lower compared to that of traditional financial services, and the absence of government and bank regulations makes decentralized services an enticing favorite.
The impact of Defi is such that many cryptocurrency platforms have adjusted their goals and roadmaps to include Defi products and services. More so, there are already established decentralized platforms that have been supporting the growth of blockchain based services across several sectors with incredible flexibility and one of those Platforms is IOST.
IOST is a blockchain platform that was launched in 2017 by a team of very educated and talented technology enthusiasts. A high speed self-operated trustless platform that is fast and easy to use, IOST is secure, fully decentralized and at its core, provides a scalable architectural layer for businesses and decentralized applications of all types, including decentralized finance (DeFi) applications.
In less than one year after updating its roadmap, IOST has been contributing heavily to the DeFi space through:
Strategic Partnerships: If there is a notable element of business growth that can be associated with IOST, it is that of Strategic Partnership and collaborations. From its days of Initial Coin Offerings, IOST has been able to form formidable partnerships with well-known world businesses such as Sequoia, Zhen Fund and many others. Now in the business of DeFi, IOST is staying true to its core principle of collaboration. Partnerships with Polkadot (help optimize IOST interoperability potentials and launch cross chain DeFi transactions), Chainlink (help assist Developers build Dapps on IOST), Power DeFi (an interoperable Dapp that supports lending and staking), to name a few, has helped cement IOST presence in the DeFi space. As of the time of this writing, IOST has at least 10 known partnerships with already established DeFi platforms, with more collaboration in the works.
Strategic Partnerships is helping to establish IOST goal in the DeFi space, which is to develop a well-rounded DeFi ecosystem built on an already proven capable infrastructure, which is the IOST blockchain.
Building DeFi Dapps: There are several Decentralized applications (Dapps) that are based on the IOST blockchain. Now a part of the growing DeFi ecosystem, IOST has also been able to build Dapps that are DeFi based. In fact, IOST started its entrance into the DeFi space by developing a stable coin, the iUSD, which would aid cross chain transactions. The blockchain has also been able to launch its own DEX, where only well-known projects are listed thereby ensuring adequate liquidity for the platform users.
There has been other DeFi based Dapps that has been built on the IOST platform, such as Liebi Pool, PowerDeFi, ProDeFi and many others. Offering a cross chain bridge between IOST and other blockchains, Dapps built on IOST are assured of smooth interoperability for their users on other blockchains.
DeFi Fundings: IOST recently unveiled the ‘Noah Oracle Fund’, a financial support that will support developers who are DeFi Innovators. As of the time of this writing, the Noah Oracle Fund has a total of 7million Dollars. The funding is one of IOST’s way of supporting and helping grow DeFi Projects, and it will be made available for Developers willing to build Dapps that can serve as Liquidity Pool Dexes, Stablecoins, Decentralized Autonomous Organizations, and Chiefly, Oracles.
IOST is also providing the developers with an already scalable blockchain Infrastructure, which is the IOST blockchain, and also other forms of support such as Technical Expert advice, Exchange listings, and most of all, access to millions of IOST’s users all over the world.
The Noah Oracle Funds is made available to Developers within a 3 working day period after their Project is approved. IOST is already sponsoring a DeFi project, RAMP, from this fund.
Staking: IOST’s staking mechanism is another innovative way that IOST has been strengthening its stand on DeFi. IOST staking involves depositing IOST tokens on certain staking pool platforms such as Huobi, OB Pool etc, leave it there for a specific period and earn tokens as interest on them. Users of the IOST platform who have staked their tokens have rights to vote and collectively decide on future mode of operation, further developments to take place on the platform or any other decision making changes to take place on the platform.
In respect to IOST DeFi goals, a partnership with RAMP, a growing DeFi Project will allow IOST users to collaterize their staked tokens into a stable coin; convert it to the rUSD, which is the stable coin of the RAMP network. This rUSD can then be exchanged for other stable coins like DAI and used in trading or investing. It is important to note that while all these transactions are carried out, the users don’t lose their interest on staked tokens. This is a great way to make money with your staked tokens using the IOST platform without losing the interests on them.
Conclusively, the goal of DeFi is to make financing easier and automated for every individual, regardless of technical or financial status. It is also a rapidly growing sector of the crypto currency economy. IOST DeFi goals seeks to make these steps much faster and easier, by offering support to already established DeFi platforms, establishing innovative DeFi platforms on a scalable network, promoting DeFi Projects through funding, and helping its users access liquidity through their staked tokens.